National Grid reaches agreement on three-year rate plan for New York City, Long Island
National Grid reached an agreement on a three-year rate plan proposal for its customers in the New York City and Long Island areas.
If the three-year agreement is approved by the New York State Public Service Commission, a typical residential heating customer in New York City using 97 therms of natural gas could see a total monthly increase of approximately $28 in the first year of the agreement starting June 1. Customers on Long Island and the Rockaway Peninsula using 102 therms of natural gas a month could see a total monthly bill increase of approximately $29 in the first year of the agreement commencing June 1.
“National Grid is proud to play a vital role in achieving New York’s energy goals. The joint proposal submitted today includes critical improvements in infrastructure maintenance and upgrades that will enable us to continue providing reliable, affordable service while advancing the state’s energy priorities,” Phil DeCicco, New York General Counsel, said. “We are proud of the agreement we have reached with the Department of Public Service Staff and other parties and look forward to receiving additional feedback from our stakeholders in the downstate region during the upcoming public review process.”
National Grid’s Downstate New York gas distribution network serves 1.9 million customers across Brooklyn, Staten Island, parts of Queens and on Long Island. The proposal includes improvements in this network that will increase reliability during extreme weather, improve energy efficiency and reduce greenhouse gas emissions. It also includes more than $210 million in bill credits for vulnerable New Yorkers, including approximately $60 million in the first year of the rate period.
Some of the initiatives outlined in the proposal include working with customers to transition to cleaner energy sources. It will evaluate opportunities to replace gas mains with cleaner energy alternatives and increase outreach to customers about options for transitioning to renewable energy sources. Further, the company is committed to not market new gas connections and encouraging applicants requesting new or expanded service to consider electrification options.
In addition, the plan calls for accelerating gas main replacement, reducing emissions, with a focus on disadvantaged communities. Since 2013 National Grid has replaced 1,500 miles of gas main — lowering system emissions by 102,385 metric tons of CO2e. For New York City the goal is to replace a minimum of 45 miles/year of gas main and in Long Island the goal is to replace a minimum of 119 miles/year of gas main.
Also, the company also plans to expand its customer service and assistance programs, with approximately $75 million in annual funding for energy efficiency programs and new residential weatherization programs.
The proposal was developed in response to feedback from customers, communities, environmental advocates, and other key stakeholders. National Grid has responded to more than 1,600 information requests and participated in eight public statement hearings both virtually and in person. The PSC will hold additional public hearings on the joint proposal.
